|
* Adopted abbreviations : SC - Subject Company (the company enquired by
you)
N/A - Not
Applicable
EXECUTIVE SUMMARY
|
REGISTRATION NO.
|
:
|
158343-X
|
|
COMPANY NAME
|
:
|
HOONG LEE HENG SDN BHD
|
|
FORMER NAME
|
:
|
N/A
|
|
INCORPORATION DATE
|
:
|
17/12/1986
|
|
COMPANY STATUS
|
:
|
EXIST
|
|
LEGAL STATUS
|
:
|
PRIVATE
LIMITED
|
|
LISTED STATUS
|
:
|
NO
|
|
REGISTERED
ADDRESS
|
:
|
LOT 1.39,
KOMPLEKS WILAYAH, 2 JALAN MUNSHI ABDULLAH, 1ST FLOOR, 50100 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.
|
|
BUSINESS
ADDRESS
|
:
|
6 JLN TP 2,
TMN PERINDUSTRIAN SIME UEP, 47600 SUBANG JAYA, SELANGOR, MALAYSIA.
|
|
TEL.NO.
|
:
|
03-80243158
|
|
FAX.NO.
|
:
|
03-80242448
|
|
CONTACT PERSON
|
:
|
MAK WAN HENG (
MANAGING DIRECTOR )
|
|
INDUSTRY CODE
|
:
|
31900
|
|
PRINCIPAL
ACTIVITY
|
:
|
MANUFACTURING
OF ELECTRICAL EQUIPMENT
|
|
AUTHORISED
CAPITAL
|
:
|
MYR
2,000,000.00 DIVIDED INTO
ORDINARY SHARE 2,000,000.00 OF MYR 1.00 EACH.
|
|
ISSUED AND
PAID UP CAPITAL
|
:
|
MYR
1,500,008.00 DIVIDED INTO
ORDINARY SHARES 8 CASH AND 1,500,000 OTHERWISE OF MYR 1.00 EACH.
|
|
SALES
|
:
|
MYR 10,363,487 [2009]
|
|
NET WORTH
|
:
|
MYR 2,942,740 [2009]
|
|
STAFF STRENGTH
|
:
|
40 [2011]
|
|
BANKER (S)
|
|
MALAYSIAN INDUSTRIAL DEVELOPMENT FINANCE BHD
|
|
LITIGATION
|
:
|
CLEAR
|
|
DEFAULTER CHECK
|
:
|
CLEAR
|
|
FINANCIAL CONDITION
|
:
|
FAIR
|
|
PAYMENT
|
:
|
AVERAGE
|
|
MANAGEMENT CAPABILITY
|
:
|
AVERAGE
|
|
COMMERCIAL RISK
|
:
|
LOW
|
|
CURRENCY EXPOSURE
|
:
|
MODERATE
|
|
GENERAL REPUTATION
|
:
|
SATISFACTORY
|
|
INDUSTRY OUTLOOK
|
:
|
AVERAGE GROWTH
|
|
PROPOSED
CREDIT LIMIT
|
:
|
USD24,342
|
HISTORY / BACKGROUND
The SC is a private limited company and is
allowed to have a minimum of one and a maximum of forty-nine shareholders. As
a private limited company, the SC must have at least two directors. A private
limited company is a separate legal entity from its shareholders. As a
separate legal entity, the SC is capable of owning assets, entering into
contracts, sue or be sued by other companies. The liabilities of the
shareholders are to the extent of the equity they have taken up and the
creditors cannot claim on shareholders' personal assets even if the SC is
insolvent. The SC is governed by the Companies Act, 1965 and the company must
file its annual returns, together with its financial statements with the
Registrar of Companies.
The SC is principally engaged in the (as a / as an) manufacturing of
electrical equipment.
The SC is not listed on Bursa Malaysia
(Malaysia Stock Exchange).
The major shareholder(s) of the SC are
shown as follows :
Name
|
Address
|
IC/PP/Loc No
|
Shareholding
|
|
MR. MAK WAN KEONG
|
4 JALAN USJ 16/2K, 47630 SUBANG JAYA, SELANGOR, MALAYSIA.
|
560410-10-5717
4958545
|
250,001.00
|
|
MR. MAK YIN PENG
|
34 JALAN 4/52, JALAN ASSUNTA, 46050 PETALING JAYA, SELANGOR, MALAYSIA.
|
480412-10-5331
0517223
|
178,575.00
|
|
MR. MAK WAN HENG +
|
34 JALAN 4/52, JALAN ASSUNTA, 46050 PETALING JAYA, SELANGOR, MALAYSIA.
|
600301-10-7127
5587364
|
178,572.00
|
|
MR. MAK FEI MENG
|
24 JALAN USJ 4/4B, 47600 SUBANG JAYA, SELANGOR, MALAYSIA.
|
521116-10-5781
4344647
|
178,572.00
|
|
MS. MAK KWAI LIN +
|
34 JALAN 4/52, JALAN ASSUNTA, 46050 PETALING JAYA, SELANGOR, MALAYSIA.
|
541015-10-6118
4701844
|
178,572.00
|
|
MS. MAK KWAI CHAN
|
34 JALAN 4/52, JALAN ASSUNTA, 46050 PETALING JAYA, SELANGOR, MALAYSIA.
|
580304-10-5260
5321840
|
178,572.00
|
|
MS. MAK KWAI SIM
|
34 JALAN 4/52, JALAN ASSUNTA, 46050 PETALING JAYA, SELANGOR, MALAYSIA.
|
640328-10-7000
|
178,572.00
|
|
MS. MAK KWAI LAN
|
34 JALAN 4/52, JALAN ASSUNTA, 46050 PETALING JAYA, SELANGOR, MALAYSIA.
|
660503-10-5300
|
178,572.00
|
|
|
|
|
---------------
|
|
|
|
|
1,500,008.00
|
|
|
|
|
============
|
+ Also Director
DIRECTORS
DIRECTOR 1
|
Name Of Subject
|
:
|
MS. LIM LEE KIEW
|
|
Address
|
:
|
24 JALAN USJ 4/4B, 47600 SUBANG JAYA, SELANGOR, MALAYSIA.
|
|
IC / PP No
|
:
|
A0241486
|
|
New IC No
|
:
|
660102-01-6104
|
|
Date of Birth
|
:
|
02/01/1966
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN CHINESE
|
DIRECTOR 2
|
Name Of Subject
|
:
|
MS. MAK KWAI LIN
|
|
Address
|
:
|
34 JALAN 4/52, JALAN ASSUNTA, 46050 PETALING JAYA, SELANGOR, MALAYSIA.
|
|
IC / PP No
|
:
|
4701844
|
|
New IC No
|
:
|
541015-10-6118
|
|
Date of Birth
|
:
|
15/10/1954
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN CHINESE
|
DIRECTOR 3
|
Name Of Subject
|
:
|
MR. MAK WAN HENG
|
|
Address
|
:
|
34 JALAN 4/52, JALAN ASSUNTA, 46050 PETALING JAYA, SELANGOR, MALAYSIA.
|
|
IC / PP No
|
:
|
5587364
|
|
New IC No
|
:
|
600301-10-7127
|
|
Date of Birth
|
:
|
01/03/1960
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN CHINESE
|
MANAGEMENT
|
1)
|
Name of Subject
|
:
|
MAK WAN HENG
|
|
|
Position
|
:
|
MANAGING DIRECTOR
|
|
|
|
|
|
|
2)
|
Name of Subject
|
:
|
JENNY
|
|
|
Position
|
:
|
ASSISTANT HUMAN RESOURCE MANAGER
|
AUDITOR
|
Auditor
|
:
|
YEO, LIM & CO
|
|
Auditor' Address
|
:
|
LOT 1.38, KOMPLEKS WILAYAH, 2 JALAN MUNSHI ABDULLAH, 1ST FLOOR,
50100 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.
|
COMPANY SECRETARIES
|
1)
|
Company Secretary
|
:
|
MS. LIM LEE KIEW
|
|
|
IC / PP No
|
:
|
A0241486
|
|
|
New IC No
|
:
|
660102-01-6104
|
|
|
Address
|
:
|
24 JALAN USJ 4/4B, 47600 SUBANG JAYA, SELANGOR, MALAYSIA.
|
|
|
|
|
|
|
2)
|
Company Secretary
|
:
|
MS. CHONG CHOW NYET
|
|
|
IC / PP No
|
:
|
A0384855
|
|
|
New IC No
|
:
|
660321-06-5424
|
|
|
Address
|
:
|
4, JALAN USJ 1/4J, SUBANG MEWAH, 47620 SUBANG JAYA, SELANGOR, MALAYSIA.
|
|
|
|
|
|
BANKING
Banking relations are maintained principally with :
|
1)
|
Name
|
:
|
MALAYSIAN INDUSTRIAL DEVELOPMENT FINANCE BHD
|
|
|
|
|
|
|
The SC enjoys normal banking routine with above mentioned banker(s).
The SC has bank charges with above mentioned banker(s).
|
ENCUMBRANCE (S)
ENCUMBRANCE 1
|
Date of Creation
|
:
|
05/11/1988
|
|
Description Of Charge
|
:
|
|
|
Amount Secured
|
:
|
$500,000.00
|
|
Description Of Property Affected
|
:
|
|
HS(D) 23682 LOT 014299 PT 9324 MK D'SARA
|
|
|
Name & Address Of Chargee
|
:
|
|
PERWIRA HABIB BANK MALAYSIA
BHD
|
|
20-22 JLN 21/12, 46300 SHAH ALAM, SELANGOR, MALAYSIA.
|
|
|
|
|
|
|
|
|
|
|
Form 40 Dated 19/11/1988
|
|
Registered and Numbered 1 In The Register of Charges
|
ENCUMBRANCE 2
|
Date of Creation
|
:
|
05/11/1988
|
|
Description Of Charge
|
:
|
|
|
Amount Secured
|
:
|
$200,000.00
|
|
Description Of Property Affected
|
:
|
|
HS(D) 23682 LOT 014299 PT 9324 MK D'SARA
|
|
|
Name & Address Of Chargee
|
:
|
|
PERWIRA HABIB BANK MALAYSIA
BHD
|
|
20-22 JLN 21/12, 46300 SHAH ALAM, SELANGOR, MALAYSIA.
|
|
|
|
|
|
|
|
|
|
|
Form 40 Dated 22/11/1988
|
|
Registered and Numbered 2 In The Register of Charges
|
ENCUMBRANCE 3
|
Date of Creation
|
:
|
16/05/1990
|
|
Description Of Charge
|
:
|
|
|
Amount Secured
|
:
|
$300,000.00
|
|
Description Of Property Affected
|
:
|
|
HS(D) 23682 LOT 014299 PT 9324 MK D'SARA
|
|
|
Name & Address Of Chargee
|
:
|
|
PERWIRA HABIB BANK MALAYSIA
BHD
|
|
WISMA SPK, JLN SULTAN ISMAIL, 3RD FLR, 50250 KUALA
LUMPUR, WILAYAH PERSEKUTUAN,
MALAYSIA.
|
|
|
|
|
|
|
|
|
|
|
Form 40 Dated 28/05/1990
|
|
Registered and Numbered 4 In The Register of Charges
|
ENCUMBRANCE 4
|
Date of Creation
|
:
|
08/05/1991
|
|
Description Of Charge
|
:
|
|
|
Amount Secured
|
:
|
$200,000.00
|
|
Description Of Property Affected
|
:
|
|
HS(D) 23682 LOT 014299 PT 9324,
MK D'SARA DIST PJ
|
|
|
Name & Address Of Chargee
|
:
|
|
PERWIRA HABIB BANK MALAYSIA
BHD
|
|
WISMA SPK, JLN SULTAN ISMAIL, 3RD FLR, 50250 KUALA
LUMPUR, WILAYAH PERSEKUTUAN,
MALAYSIA.
|
|
|
|
|
|
|
|
|
|
|
Form 40 Dated 17/05/1991
|
|
Registered and Numbered 5 In The Register of Charges
|
ENCUMBRANCE 5
|
Date of Creation
|
:
|
20/07/1992
|
|
Description Of Charge
|
:
|
|
|
Amount Secured
|
:
|
$210,000.00
|
|
Description Of Property Affected
|
:
|
|
|
Name & Address Of Chargee
|
:
|
|
MALAYSIAN INDUSTRIAL DEVELOPMENT FINANCE BHD
|
|
195A JLN TUN RAZAK, 50400 KUALA LUMPUR,
WILAYAH PERSEKUTUAN, MALAYSIA.
|
|
|
|
|
|
|
|
|
|
|
Form 40 Dated 10/08/1992
|
|
Registered and Numbered 7 In The Register of Charges
|
ENCUMBRANCE 6
|
Date of Creation
|
:
|
26/01/1995
|
|
Description Of Charge
|
:
|
|
|
Amount Secured
|
:
|
RM3,000,000.00
|
|
Description Of Property Affected
|
:
|
|
HS(D) 86563 & 58609, LOT PT 266 & 9324, MK D'SARA
|
|
|
Name & Address Of Chargee
|
:
|
|
PERWIRA AFFIN BANK BHD
|
|
20-22 JLN 21/12, 46300 SHAH ALAM, SELANGOR, MALAYSIA.
|
|
|
|
|
|
|
|
|
|
|
Form 40 Dated 27/02/1995
|
|
Registered and Numbered 11 In The Register of Charges
|
ENCUMBRANCE 7
|
Date of Creation
|
:
|
10/03/1995
|
|
Description Of Charge
|
:
|
|
|
Amount Secured
|
:
|
RM3,000,000.00
|
|
Description Of Property Affected
|
:
|
|
HS(D) 86563, PT 266, MK D'SARA
|
|
|
Name & Address Of Chargee
|
:
|
|
PERWIRA AFFIN BANK BHD
|
|
20-22 JLN 21/12, 46300 SHAH ALAM, SELANGOR, MALAYSIA.
|
|
|
|
|
|
|
|
|
|
|
Form 40 Dated 30/03/1995
|
|
Registered and Numbered 12 In The Register of Charges
|
ENCUMBRANCE 8
|
Date of Creation
|
:
|
28/10/1997
|
|
Description Of Charge
|
:
|
|
|
Amount Secured
|
:
|
RM3,000,000.00
|
|
Description Of Property Affected
|
:
|
|
HS(D) 86563, PT 266, MK D'SARA, DIST PETALING, SELANGOR
|
|
|
Name & Address Of Chargee
|
:
|
|
PERWIRA AFFIN BANK BHD
|
|
20-22 JLN 21/12, SEA PARK, 46300 SHAH ALAM, SELANGOR, MALAYSIA.
|
|
|
|
|
|
|
|
|
|
|
Form 40 Dated 17/11/1997
|
|
Registered and Numbered 13 In The Register of Charges
|
LEGAL CHECK AGAINST SC
* A check has been conducted in our databank againt the SC whether the
subject has been involved in any litigation. Our databank consists of 99% of
the wound up companies in Malaysia.
No legal action was found in our databank.
No winding up petition was found in our databank.
DEFAULTER CHECK AGAINST SC
* We have checked through the SC in our defaulters' database which comprised
of debtors that have been blacklisted by our customers and debtors that have
been placed or assigned to us for collection since 1990. Information was
provided by third party where the debt amount can be disputed. Please check
with creditors for confirmation as alleged debts may have been paid since
recorded or are being disputed.
No blacklisted record & debt collection case was found in our defaulters'
databank.
PAYMENT RECORD
|
SOURCES OF RAW MATERIALS:
|
|
Local
|
:
|
YES
|
|
Overseas
|
:
|
YES
|
|
|
|
|
The SC refused to provide any name of trade/service supplier and we are
unable to conduct any trade enquiry. However, from financial historical data
we conclude that :
|
OVERALL PAYMENT HABIT
|
|
Prompt 0-30 Days
|
[
|
|
]
|
|
Good 31-60 Days
|
[
|
|
]
|
|
Average 61-90 Days
|
[
|
X
|
]
|
|
|
Fair 91-120 Days
|
[
|
|
]
|
|
Poor >120 Days
|
[
|
|
]
|
|
|
|
|
|
|
CLIENTELE
|
Local
|
:
|
YES
|
|
Domestic Markets
|
:
|
MALAYSIA
|
|
Overseas
|
:
|
YES
|
|
|
|
|
Export Market
|
:
|
UNITED
KINGDOM, SRI LANKA,
VIETNAM
|
|
Credit Term
|
:
|
30 - 60 DAYS
|
|
|
|
|
|
|
|
|
Payment Mode
|
:
|
CHEQUES,TELEGRAPHIC TRANSFER (TT)
|
OPERATIONS
|
Products manufactured
|
:
|
|
|
|
|
|
|
Competitor(s)
|
:
|
|
ANCOM LOGISTICS BHD
|
|
MEMS TECHNOLOGY BHD
|
|
NXP SEMICONDUCTORS MALAYSIA
SDN BHD
|
|
RECTRON (M) SDN BHD
|
|
TAMCO SWITCHGEAR (MALAYSIA)
SDN BHD
|
|
|
|
|
|
|
Member(s) / Affiliate(s)
|
:
|
|
THE ELECTRICAL AND ELECTRONICS ASSOCIATION OF MALAYSIA
(TEEAM)
|
|
SMALL & MEDIUM ENTERPRISE
|
|
|
|
|
|
|
Ownership of premises
|
:
|
|
|
Total Number of Employees:
|
|
|
YEAR
|
2011
|
2010
|
2009
|
2008
|
|
|
|
|
GROUP
|
N/A
|
N/A
|
N/A
|
N/A
|
|
|
|
|
|
|
COMPANY
|
40
|
30
|
28
|
27
|
|
|
|
|
|
Other Information:
The SC is principally engaged in the (as a / as an) manufacturing of electrical
equipment.
The SC is engaged in the manufacturing of electrical equipment, connectors,
cables, high-tension electrical equipment.
The SC's products are used by the Tenaga Nasional Berhad (TNB).
The SC produces according to its customers' orders.
PROJECTS
No projects found in our databank
RECENT DEVELOPMENT
We have checked with the Malaysian National News Agency's (BERNAMA)database,
but no latest development was noted in our investigation.
CURRENT INVESTIGATION
Latest fresh
investigations carried out on the SC indicated that :
|
Telephone Number Provided By Client
|
:
|
N/A
|
|
Current Telephone Number
|
:
|
03-80243158
|
|
Match
|
:
|
N/A
|
|
|
|
|
|
Address Provided by Client
|
:
|
6 JLN TP 2, TMN PERINDUSTRIAN SIME UEP, 47600, SUBANG JAYA,
SELANGOR.
|
|
Current Address
|
:
|
6 JLN TP 2, TMN PERINDUSTRIAN SIME UEP, 47600 SUBANG JAYA, SELANGOR, MALAYSIA.
|
|
Match
|
:
|
YES
|
|
|
|
|
|
Latest Financial Accounts
|
:
|
YES
|
Other Investigations
We contacted Ms
Jenny from the SC and she provided some information on the SC.
FINANCIAL COMMENTS
Profitability:
|
Turnover
|
:
|
Increased
|
[
|
55.83%
|
]
|
|
Profit/(Loss) Before Tax
|
:
|
Decreased
|
[
|
<227.43%>
|
]
|
|
Return on Shareholder Funds
|
:
|
Acceptable
|
[
|
15.27%
|
]
|
|
Return on Net Assets
|
:
|
Acceptable
|
[
|
20.50%
|
]
|
The increase in turnover could be due to the SC adopting an aggressive
marketing strategy. The management had succeeded in turning the SC into a
profit making company. The profit could be due to better control of its
operating costs and efficiency in utilising its resources. The SC's
management had generated acceptable return for its shareholders using its
assets.
Working Capital Control:
|
Stock Ratio
|
:
|
Favourable
|
[
|
26 Days
|
]
|
|
Debtors Ratio
|
:
|
Unfavourable
|
[
|
99 Days
|
]
|
|
Creditors
Ratio
|
:
|
Unfavourable
|
[
|
78 Days
|
]
|
The SC's stocks were moving fast thus reducing its holding cost. This had
reduced funds being tied up in stocks. The SC's debtors ratio was high. The
SC should tighten its credit control and improve its collection period. The
unfavourable creditors' ratio could be due to the SC taking advantage of the
credit granted by its suppliers. However this may affect the goodwill between
the SC and its suppliers and the SC may inadvertently have to pay more for
its future supplies.
Liquidity:
|
Liquid Ratio
|
:
|
Unfavourable
|
[
|
0.46 Times
|
]
|
|
Current Ratio
|
:
|
Unfavourable
|
[
|
0.56 Times
|
]
|
A low liquid ratio means that the SC may be facing working capital
deficiency. If the SC cannot obtain additional financing or injection of
fresh capital, it may face difficulties in meeting its short term
obligations.
Solvency
|
Interest Cover
|
:
|
Acceptable
|
[
|
7.53 Times
|
]
|
|
Gearing Ratio
|
:
|
Favourable
|
[
|
0.42 Times
|
]
|
The SC's interest cover was slightly low. If there is no sharp fall in its
profit or sudden increase in the interest rates, we believe the SC is able to
generate sufficient income to service its interest and repay the loans. The
SC was lowly geared thus it had a low financial risk. The SC was mainly
financed by its shareholders' funds and internally generated funds. In times
of economic slowdown / downturn, the SC being a lowly geared company, will be
able to compete better than those companies which are highly geared in the
same industry.
Overall
Assessment:
The higher
turnover had helped to reduce the SC's losses. Due to its weak liquidity
position, the SC will be faced with problems in meeting all its short term
obligations if no short term loan is obtained or additional capital injected
into the SC. The SC had an acceptable interest cover. If there is no sudden
sharp increase in interest rate or fall in the SC's profit, we do believe the
SC is able to generate sufficient cash flow to service its interest payment.
The SC as a lowly geared company, will be more secured compared to those
highly geared companies. It has the ability to meet all its long term
obligations.
Overall financial condition of the SC : FAIR
ECONOMIC / INDUSTRY OUTLOOK
|
Major Economic Indicators:
|
2007
|
2008
|
2009
|
2010*
|
2011**
|
|
|
|
|
|
|
|
|
Population ( Million)
|
27.17
|
27.73
|
28.31
|
28.88
|
29.13
|
|
Gross Domestic Products ( % )
|
6.3
|
4.6
|
<0.5>
|
6.9
|
5.8
|
|
Domestic Demand ( % )
|
9.0
|
6.9
|
2.9
|
4.6
|
4.8
|
|
Private Expenditure ( % )
|
8.6
|
7.1
|
<2.7>
|
8.1
|
7.0
|
|
Consumption ( % )
|
9.0
|
8.4
|
0.7
|
6.7
|
6.3
|
|
Investment ( % )
|
7.1
|
1.5
|
<17.2>
|
15.2
|
10.2
|
|
Public Expenditure ( % )
|
10.1
|
6.5
|
5.2
|
3.8
|
2.8
|
|
Consumption ( % )
|
10.8
|
11.6
|
3.1
|
0.2
|
4.6
|
|
Investment ( % )
|
9.3
|
0.7
|
8.0
|
8.3
|
0.6
|
|
|
|
|
|
|
|
|
Balance of Trade ( MYR Million )
|
100,340
|
129,563
|
89,650
|
118,356
|
116,058
|
|
Government Finance ( MYR Million )
|
<19,948>
|
<34,462>
|
<28,450>
|
<40,482>
|
-
|
|
Government Finance to GDP / Fiscal Deficit ( % )
|
<3.2>
|
<4.8>
|
<4.8>
|
<5.6>
|
<5.4>
|
|
Inflation ( % Change in Composite CPI)
|
2.0
|
<3.3>
|
<5.2>
|
5.1
|
-
|
|
Unemployment Rate
|
3.2
|
3.7
|
4.5
|
3.9
|
-
|
|
|
|
|
|
|
|
|
Net International Reserves ( MYR Billion )
|
336
|
388
|
331
|
394
|
-
|
|
Average Risk-Weighted Capital Adequacy Ratio ( % )
|
3.04
|
1.91
|
2.87
|
2.20
|
-
|
|
Average 3 Months of Non-performing Loans ( % )
|
13.30
|
13.24
|
11.08
|
15.30
|
-
|
|
Average Base Lending Rate ( % )
|
6.72
|
6.72
|
5.53
|
5.70
|
-
|
|
Business Loans Disbursed( % )
|
9.1
|
11.6
|
10.5
|
14.7
|
-
|
|
Foreign Investment ( MYR Million )
|
33,426.0
|
23,261.4
|
22,156.8
|
22,517.9
|
-
|
|
Consumer Loans ( % )
|
-
|
-
|
-
|
-
|
-
|
|
|
|
|
|
|
|
|
Registration of New Companies ( No. )
|
43,337
|
41,599
|
41,578
|
-
|
-
|
|
Registration of New Companies ( % )
|
13.2
|
<4.0>
|
<0.1>
|
-
|
-
|
|
Liquidation of Companies ( No. )
|
22,629
|
27,992
|
39,075
|
-
|
-
|
|
Liquidation of Companies ( % )
|
161.5
|
23.7
|
39.6
|
-
|
-
|
|
|
|
|
|
|
|
|
Registration of New Business ( No. )
|
227,410
|
269,866
|
312,581
|
-
|
-
|
|
Registration of New Business ( % )
|
-
|
-
|
-
|
-
|
-
|
|
Business Dissolved ( No. )
|
20,431
|
18,885
|
19,345
|
-
|
-
|
|
Business Dissolved ( % )
|
<61.4>
|
<7.6>
|
2.4
|
-
|
-
|
|
|
|
|
|
|
|
|
Sales of New Passenger Cars (' 000 Unit )
|
442.9
|
497.5
|
319.4
|
369.7
|
-
|
|
Cellular Phone Subscribers ( Million )
|
23.3
|
25.1
|
30.1
|
32.8
|
-
|
|
Tourist Arrival ( Million Persons )
|
20.9
|
21.5
|
23.6
|
24.0
|
25.0
|
|
Hotel Occupancy Rate ( % )
|
70
|
68
|
58
|
63
|
-
|
|
|
|
|
|
|
|
|
Credit Cards Spending ( % )
|
20.1
|
17.1
|
12.8
|
15.1
|
-
|
|
Bad Cheque Offenders (No.)
|
30,004
|
34,834
|
-
|
-
|
-
|
|
Individual Bankruptcy ( No.)
|
13,238
|
13,907
|
-
|
-
|
-
|
|
Individual Bankruptcy ( % )
|
<2.6>
|
5.1
|
-
|
-
|
-
|
|
|
|
|
|
|
|
|
INDUSTRIES ( % of Growth ):
|
2007
|
2008
|
2009
|
2010*
|
2011**
|
|
|
|
|
|
|
|
|
Agriculture
|
3.1
|
3.6
|
0.4
|
3.4
|
4.5
|
|
Palm Oil
|
<0.6>
|
7.0
|
<1.1>
|
1.3
|
-
|
|
Rubber
|
1.0
|
<1.1>
|
<19.8>
|
9.9
|
-
|
|
Forestry & Logging
|
2.8
|
<1.5>
|
<5.9>
|
<1.3>
|
-
|
|
Fishing
|
5.2
|
4.0
|
5.5
|
4.1
|
-
|
|
Other Agriculture
|
7.0
|
5.9
|
9.0
|
6.6
|
-
|
|
Industry Non-Performing Loans ( MYR Million )
|
487.3
|
393.0
|
413.7
|
508.4
|
-
|
|
% of Industry Non-Performing Loans
|
1.1
|
<2.0>
|
1.3
|
2.1
|
-
|
|
|
|
|
|
|
|
|
Mining
|
3.3
|
<0.8>
|
<3.8>
|
1.0
|
2.9
|
|
Oil & Gas
|
2.2
|
12.7
|
2.1
|
4.9
|
-
|
|
Other Mining
|
-
|
-
|
-
|
-
|
-
|
|
Industry Non-performing Loans ( MYR Million )
|
42.2
|
36.0
|
44.2
|
49.7
|
-
|
|
% of Industry Non-performing Loans
|
0.1
|
0.1
|
0.1
|
0.1
|
-
|
|
|
|
|
|
|
|
|
Manufacturing #
|
3.1
|
1.3
|
<9.4>
|
10.8
|
6.7
|
|
Exported-oriented Industries
|
<1.9>
|
2.7
|
<19.0>
|
12.1
|
-
|
|
Electrical & Electronics
|
3.0
|
2.4
|
<30.3>
|
27.4
|
-
|
|
Rubber Products
|
8.0
|
4.2
|
<10.1>
|
25.3
|
-
|
|
Wood Products
|
3.3
|
<6.0>
|
<24.1>
|
19.7
|
-
|
|
Textiles & Apparel
|
<10.1>
|
1.9
|
<19.5>
|
<1.3>
|
-
|
|
Domestic-oriented Industries
|
5.3
|
9.9
|
<9.8>
|
16.3
|
-
|
|
Food, Beverages & Tobacco
|
5.6
|
9.5
|
0.2
|
3.0
|
-
|
|
Chemical & Chemical Products
|
9.2
|
1.4
|
<7.7>
|
20.4
|
-
|
|
Plastic Products
|
<3.6>
|
6.5
|
<9.1>
|
2.4
|
-
|
|
Iron & Steel
|
17.5
|
16.8
|
<32.7>
|
30.0
|
-
|
|
Fabricated Metal Products
|
26.2
|
14.7
|
<2.5>
|
14.9
|
-
|
|
Non-metallic Mineral
|
6.6
|
8.3
|
<15.5>
|
20.2
|
-
|
|
Transport Equipment
|
<19.0>
|
27.1
|
<13.5>
|
36.5
|
-
|
|
Paper & Paper Products
|
14.9
|
8.6
|
<5.0>
|
20.5
|
-
|
|
Crude Oil Refineries
|
8.6
|
7.8
|
0.2
|
<11.4>
|
-
|
|
Industry Non-Performing Loans ( MYR Million )
|
6,366.2
|
5,729.4
|
6,007.3
|
6,217.5
|
-
|
|
% of Industry Non-Performing Loans
|
14.1
|
16.8
|
18.3
|
23.8
|
-
|
|
|
|
|
|
|
|
|
Construction
|
4.6
|
2.1
|
5.8
|
4.9
|
4.4
|
|
Industry Non-Performing Loans ( MYR Million )
|
5,116.7
|
4,149.8
|
3,241.8
|
4,038.5
|
-
|
|
% of Industry Non-Performing Loans
|
11.3
|
12.2
|
9.9
|
10.7
|
-
|
|
|
|
|
|
|
|
|
Services
|
9.7
|
7.3
|
2.6
|
6.5
|
5.3
|
|
Electric, Gas & Water
|
4.6
|
5.0
|
0.4
|
8.5
|
5.6
|
|
Transport, Storage & Communication
|
7.60
|
7.80
|
1.60
|
7.15
|
7.55
|
|
Wholesale, Retail, Hotel & Restaurant
|
11.6
|
10.0
|
2.8
|
4.7
|
5.2
|
|
Finance, Insurance & Real Estate
|
10.7
|
9.2
|
3.8
|
6.0
|
5.2
|
|
Government Services
|
4.6
|
8.6
|
2.0
|
6.7
|
1.9
|
|
Other Services
|
5.0
|
5.9
|
4.4
|
4.2
|
5.4
|
|
Industry Non-Performing Loans ( MYR Million )
|
10,207.8
|
8,281.4
|
6,631.3
|
7,384.6
|
-
|
|
% of Industry Non-Performing Loans
|
22.6
|
24.3
|
20.2
|
25.7
|
-
|
|
* Estimate /
Preliminary
|
|
|
|
|
|
|
** Forecast
|
|
|
|
|
|
|
# Based On
Manufacturing Production Index
(Source : Department of Statistics / Economic Report / Bank Negara Report)
|
INDUSTRY COMMENTS
|
MSIC CODE
|
|
31900 : Manufacture of other electrical equipment n.e.c.
|
|
|
|
|
INDUSTRY :
|
ELECTRICAL & ELECTRONIC
|
|
Malaysia's
electronics and electrical (E&E) capabilities are expected to be
strengthened across the value chain with focus on attracting multinational
companies to operate in the country. Under the E&E national key economic
area targets, the sector is projected to increase gross national income by
RM53bil to RM90bil by 2020, and provide 157,000 jobs.
|
|
Four geographic areas (the Northern Corridor, the greater Klang Valley,
Johor and Sarawak) have been idenfied and
sub-sectors include semiconductors, solar, light emitting diodes (LEDs),
electrical appliances and industrial electronics.
|
|
Proposed projects under semiconductors include bringing in five mature
technology fabricators and three in advanced packaging technology; setting
up 50 IC design firms and two wafer substrate manufacturers. The aim is to
have a concentration of leading global semiconductor firms; the current
global market share is 5%.
|
|
In the solar manufacturing industry, it was proposed that domestic silicon
production be increased from six kilotonnes to 114 kilotonnes by 2020. The
production capacity of cell, wafers and modules should be increased by 10
times from 2.3GW to 23.3GW in 2020. Malaysia also aims to be a
major manufacturing location for modules serving the Asian market. The
global market for solar manufacturing is projected to increase from
US$35bil in 2009 to US$290bil in 2020, with Asia
as a major growth area.
|
|
Malaysia
currently has 10% of the LED market largely for the illumination sector.
The target is to attract at least one major substrate supplier and one
epitaxy to complete the value chain. Two more LED wafer fabrication plants
are to be brought in, while the LED packaging business would be expanded by
15% per year. At least five solid state lighting companies will be
developed into global leaders with a certification laboratory for LED
products.
|
|
Malaysia
has a strong LED presence. Three out of five of the largest lighting
companies are located in the country. Besides the Government's push for
green technology, higher education for specialised LED areas, for example
thermal and optics, should be encouraged.
|
|
Under industrial electronics, the target is to grow Agilent's Malaysian
electronic measurement and bioanalytics business, and build the complete
test and measurement ecosystem. There is also a proposal to grow the radio
communications ecosystem led by Motorola and develop radio frequency
identification applications. Malaysia should be promoted as
a site for leading automation equipment manufacturers. A consortium of
electrical home appliances companies should also be built.
|
|
|
|
|
OVERALL INDUSTRY OUTLOOK : Average Growth
|
COMMENTS & RECOMMENDATION
|
Incorporated in 1986 as a private limited company, the SC is
principally engaged in the manufacturing of electrical equipment. Having
been in the industry for 24 years, the SC should have received strong
support from its regular customers. A paid up capital of RM1.5 million
allows the SC to expand its business more comfortably. We considered that
the SC's business position in the market is much dependent on the efforts
of its directors.
|
|
Over the years, the SC has established an extensive clientele base in the
market. Besides catering to the local market, the SC has penetrated into other
countries such as United Kingdom,
Sri Lanka and Vietnam.
With the contribution of both local and overseas customers, the SC is
likely to be exposed to lower commercial risk. Hence, we believe that the
SC has better business expansion opportunities in the future. Headed by its
Managing Director, Mak Wan Heng, the SC currently has about 40 staff in its
business operations. The overall management capability of the SC is
average.
|
|
During the financial year under review, the SC's turnover showed an upward
momentum, reaching RM10.36 million compared to RM6.65 million previously.
Correspondingly, its pre-tax profit rose to RM539,353. This was achieved on
the back of stronger performance of higher turnover. Return on
shareholders' funds of the SC was at an acceptable range which indicated
that the management was efficient in utilising its funds to generate
income. Being a lowly geared company, the SC is exposed to low financial
risk as it is mainly dependent on its internal funds to finance its
business needs. However, the SC possesses a weak liquidity position and we
believe that the SC may face some difficulties in meeting its short term
financial obligations. Given a positive net worth standing at RM2.94
million, the SC should be able to maintain its business in the near terms.
|
|
The SC's supplier are from both the local and overseas countries. This will
eliminates the risk of dependency on deliveries from a number of key
suppliers and insufficient quantities of its raw materials.
|
|
Based on the historical financial data, we concluded that the SC's payment
habit is average. The SC is capable to meet small and medium commitments.
|
|
The industry shows an upward trend and this trend is likely to sustain in
the near future. With the promising outlook of the industry performance,
the SC business potential should be favourable. Therefore, we are quite
confident with the SC's performance in the near future.
|
|
Based on the above condition, we recommend a moderate amount of credit be
granted to the SC normally.
|
PROFIT AND LOSS ACCOUNT
|
THE FINANCIAL
STATEMENTS WERE PREPARED IN ACCORDANCE WITH MALAYSIA ACCOUNTING STANDARD.
|
|
HOONG LEE HENG
SDN BHD
|
|
For The Year
Ended 31-December-2009
|
|
|
2009
|
2008
|
|
|
MYR
|
MYR
|
|
TURNOVER
|
10,363,487
|
6,650,661
|
|
|
==========
|
==========
|
|
PROFIT/(LOSS) FROM OPERATIONS
|
539,353
|
<423,255>
|
|
|
|
|
|
|
------------
|
------------
|
|
PROFIT/(LOSS) BEFORE TAXATION
|
539,353
|
<423,255>
|
|
Taxation
|
<90,000>
|
50,440
|
|
PROFIT/(LOSS) AFTER TAXATION
|
------------
449,353
|
------------
<372,815>
|
|
PROFIT/(LOSS) BEFORE EXTRAORDINARY ITEMS
|
------------
449,353
|
------------
<372,815>
|
|
|
|
|
|
PROFIT/(LOSS) ATTRIBUTABLE TO SHAREHOLDERS
RETAINED PROFIT/(ACCUMULATED LOSS) BROUGHT FORWARD
|
------------
449,353
|
------------
<372,815>
|
|
As previous reported
|
993,379
|
1,366,194
|
|
|
|
|
|
As restated
|
------------
993,379
|
------------
1,366,194
|
|
|
------------
|
------------
|
|
PROFIT AVAILABLE FOR APPROPRIATIONS
|
1,442,732
|
993,379
|
|
RETAINED PROFIT/(ACCUMULATED LOSS) CARRIED FORWAD
|
------------
1,442,732
==========
|
------------
993,379
==========
|
|
RETAINED BY: The Company
|
1,442,732
|
993,379
|
|
|
------------
1,442,732
==========
|
------------
993,379
==========
|
|
INTEREST EXPENSE (as per notes to PL)
|
|
|
|
Term loan
|
1,473
|
14,929
|
|
Bank overdraft
|
81,107
|
137,415
|
|
|
------------
82,580
==========
|
------------
152,344
==========
|
BALANCE SHEET
|
HOONG LEE HENG
SDN BHD
|
|
As At
31-December-2009
|
|
|
2009
|
2008
|
|
|
MYR
|
MYR
|
|
ASSET EMPLOYED:
|
|
|
|
FIXED ASSETS
|
6,508,440
|
6,637,143
|
|
TOTAL LONG TERM ASSETS
|
------------
6,508,440
|
------------
6,637,143
|
|
CURRENT ASSETS
|
|
|
|
|
Stocks
|
749,029
|
984,576
|
|
|
Trade debtors
|
2,811,427
|
2,101,803
|
|
|
Other debtors, deposits & prepayments
|
489,431
|
498,554
|
|
|
Short term deposits
|
42,297
|
40,788
|
|
|
Cash & bank balances
|
256,195
|
205,158
|
|
|
Tax refundable
|
18,331
|
45,000
|
|
TOTAL CURRENT ASSETS
|
------------
4,366,710
|
------------
3,875,879
|
|
CURRENT LIABILITIES
|
|
|
|
|
Trade creditors
|
2,212,817
|
1,865,076
|
|
|
Other creditors & accruals
|
3,063,213
|
2,965,516
|
|
|
Bank overdraft
|
1,230,578
|
1,725,970
|
|
|
Short term borrowings/Term loans
|
-
|
64,922
|
|
|
Amounts owing to director
|
1,334,502
|
1,346,851
|
|
TOTAL CURRENT LIABILITIES
|
------------
7,841,110
|
------------
7,968,335
|
|
NET CURRENT ASSETS/(LIABILITIES)
|
------------
<3,474,400>
|
------------
<4,092,456>
|
|
TOTAL NET ASSETS
|
------------
3,034,040
==========
|
------------
2,544,687
==========
|
|
FINANCED BY:
|
|
|
|
|
|
|
|
|
SHARE CAPITAL
|
|
|
|
|
Ordinary share capital
|
1,500,008
|
1,500,008
|
|
|
|
|
|
|
TOTAL SHARE CAPITAL
|
------------
1,500,008
|
------------
1,500,008
|
|
|
|
|
|
|
RESERVES
|
|
|
|
|
Retain profit/(Accumulated loss) carried forward
|
1,442,732
|
993,379
|
|
TOTAL RESERVES
|
------------
1,442,732
|
------------
993,379
|
|
SHAREHOLDERS' FUNDS/EQUITY
|
------------
2,942,740
|
------------
2,493,387
|
|
LONG TERM & DEFERRED LIABILITIES & PROVISIONS
|
|
|
|
|
Deferred taxation
|
91,300
|
51,300
|
|
TOTAL LONG TERM & DEFERRED LIABILITIES & PROVISIONS
|
------------
91,300
|
------------
51,300
|
|
|
------------
|
------------
|
|
|
3,034,040
|
2,544,687
|
|
|
==========
|
==========
|
|
|
|
|
|
FINANCIAL RATIOS
|
HOONG LEE HENG
SDN BHD
|
|
As At
31-December-2009
|
|
|
2009
|
2008
|
|
|
MYR
|
MYR
|
|
|
|
|
|
|
|
|
|
|
|
TYPES OF FUNDS
|
|
|
|
|
Cash
|
298,492
|
245,946
|
|
|
Net Liquid Funds
|
<932,086>
|
<1,544,946>
|
|
|
Net Liquid Assets
|
<4,223,429>
|
<5,077,032>
|
|
|
Net Current Assets/(Liabilities)
|
<3,474,400>
|
<4,092,456>
|
|
|
Net Tangible Assets
|
3,034,040
|
2,544,687
|
|
|
Net Monetary Assets
|
<4,314,729>
|
<5,128,332>
|
|
|
|
|
|
|
BALANCE SHEET ITEMS
|
|
|
|
|
Total Borrowings
|
1,230,578
|
1,790,892
|
|
|
Total Liabilities
|
7,932,410
|
8,019,635
|
|
|
Total Assets
|
10,875,150
|
10,513,022
|
|
|
Net Assets
|
3,034,040
|
2,544,687
|
|
|
Net Assets Backing
|
2,942,740
|
2,493,387
|
|
|
Shareholders" Funds
|
2,942,740
|
2,493,387
|
|
|
Total Share Capital
|
1,500,008
|
1,500,008
|
|
|
Total Reserves
|
1,442,732
|
993,379
|
|
|
|
|
|
|
LIQUIDITY(Times)
|
|
|
|
|
Cash Ratio
|
0.04
|
0.03
|
|
|
Liquid Ratio
|
0.46
|
0.36
|
|
|
Current Ratio
|
0.56
|
0.49
|
|
|
|
|
|
|
WORKING CAPITAL CONTROL (Days)
|
|
|
|
|
Stock Ratio
|
26
|
54
|
|
|
Debtors Ratio
|
99
|
115
|
|
|
Creditors Ratio
|
78
|
102
|
|
|
|
|
|
|
SOLVENCY RATIOS (Times)
|
|
|
|
|
Gearing Ratio
|
0.42
|
0.72
|
|
|
Liabilities Ratio
|
2.70
|
3.22
|
|
|
Times Interest Earned Ratio
|
7.53
|
<1.78>
|
|
|
|
|
|
|
PERFORMANCE RATIO (%)
|
|
|
|
|
Operating Profit Margin
|
5.20
|
<6.36>
|
|
|
Net Profit Margin
|
4.34
|
<5.61>
|
|
|
Return On Net Assets
|
20.50
|
<10.65>
|
|
|
Return On Capital Employed
|
14.58
|
<6.25>
|
|
|
Return On Shareholders' Funds/Equity
|
15.27
|
<14.95>
|
|
|
Dividend Pay Out Ratio (Times)
|
0
|
0
|
|
|
|
|
|
|
NOTES TO ACCOUNTS
|
|
|
|
|
Contingent Liabilities
|
0.00
|
0.00
|
|
|
|
|
|
|
|
|
